re: NASDAQ minus 15% Year To Date

I've always been fascinated with this boards obsession with SE. I watchlisted it in early 2021 after i saw cgrand pumping it, I have never really heard of it outside this board and reddit and i never bought a share but ive watched it. It took a long time for me to figure out what the company even does, its not very obvious. You read what the descriptions of the company are on ticker sites and it sounds like they are trying to hit every segment of online interaction all at once. It had massive momentum moves which was the rage the last 2 years but other than that, I dont get it. It kinda reminds me of humbl to be quite honest with wanting to be in every business everywhere. But it had a 100 billion fkn market cap So I looked into it a little more.

All of the revenue growth is from 1 video game called freefire that came out in like 2016 or 2017 on their gaming platform (look at where their sales growth starts, its all this game, and the eye popping growth stats are from covid related to this one game). They then changed their name and started investing that money into fintech and e commerce, and are rapidly expanding into different regions with those segments. They are not major players it seems anywhere those segments are, and they are hemorrhaging cash at almost 500 million a quarter. Almost all of their income comes from not just their original business which is a mobile gaming platform but from one game. Why would they not focus on that which has brought them success before, why havent they been able to create another hit game, instead they are trying to compete with established e-commerce companies like alibaba and Amazon, and they are also simultaneously attacking fintech. Both those segments are losing money at an astounding rate. They do tie those segments into freefire with prepaid cards and e-commerce shopping, but still, too perilous and way too uncertain for me.

Personally, seems like a scary company to be invested in at this time, one cash flow that's a single video game which could go out of style, and growth stats propped up by covid shutdowns, and very non focused reinvestment. Maybe I'm wrong.

I'm sure 75% or more of the people who bring up that ticker here aren't aware of what the business does at all or even cares, so im not sure it matters, but I find it fascinating. This one looks like the quintessential bubble stock to me. That market cap is serious though, so alot of people believe in the thing, it's just too confusing for me.

Time to buy buy buy